Mr. Speaker, it is my privilege to enter some remarks on this motion on behalf of the Progressive Conservative Party of Canada. The motion is indeed immensely flexible and is moderate in nature. I think it is a motion that all members of the House should be very comfortable in supporting.
The motion reads:
That, in the opinion of this House, the government should index the family supplement to the cost of living in the next Federal Budget.
One could even argue that this should be done in all future budgets to ensure that the intent and the value of this particular supplement is there for Canadians in the way in which it was designed in the first place.
Members likely are aware that some EI claimants with children can get more money because of the family supplement. Employment insurance's family supplement provides additional benefits to low income families with children by providing them, in some cases, with up to 80% of their weekly earnings instead of the usual 55% of earnings for most recipients. The amount of the family supplement depends on family income and the number and ages of the children in the family. In 1999 and in 2000, the last year for which we have statistics on this particular program, 195,000 families received the family supplement.
To be eligible, an individual, spouse or common law partner must receive the Canada child tax benefit and the annual family income must not be more than $25,921. That is a very paltry amount of money. The intent of this program really is to try to help those low income families who indeed need a hand up. To ensure the effectiveness of the program, it seems only logical that the supplement be indexed to the cost of living. Otherwise, the families are not receiving the full benefit of the program.
The motion calls upon the government to review this essential program by indexing the family supplement to the cost of living. As the mover of the motion pointed out, it has been six years since the family supplement was established and it would seem only reasonable that a review be performed to determine whether changes like the introduction of indexing are in fact required.
The program targets individuals in need. It is geared primarily to women and children in low income families. I will point out the issue with respect to women, if I may. Figures from 2001 and 2002 indicate that $175 million was paid in family supplement benefits to a total of approximately 187,000 recipients, of which 134,000 were women. It is a point of fact that 16% of Canadians are one parent families. This initiative really does speak to the progressive nature of the country, if I dare say it, the progressive and liberal nature of the country, to ensure that we give those individuals a hand up where it is indeed needed. Families that are already in desperate situations with one or both parents out of work and collecting employment insurance need this extra benefit.
The motion asks the government to index the family supplement to the inflation level. I support the motion on behalf of the Progressive Conservative Party of Canada because if we examine family incomes we see that the income ceiling for receiving the family supplement has been frozen at $26,000 for over the last six years since its inception in 1996. Inflation is eating away at the family supplement. Unless we index it, we are taking away from the maximum assistance the program could be providing. Inflation erodes support payments, which have not changed in nominal terms. I think every party that supported this initiative at second reading should indeed go down that track as we move forward at this stage of the debate in this process.
I would like to add that there are some other initiatives the Government of Canada should be using, which would really follow and dovetail with the efforts of the hon. member who has moved this very constructive motion. I believe we should increase the basic personal exemption in order to take these individuals, those Canadians earning the lowest incomes, off the tax rolls altogether.
In our platform, which we tabled before Canadians in November 2000, we advocated that the basic personal exemption be raised to $12,000. That would ensure that not a nickel, not a dollar of tax, would be collected from a family earning $24,000. Even in a one parent family situation, the equivalent of spouse could be claimed. That would be the threshold at which it would begin.
In the debate on the motion we are discussing now, it could possibly become irrelevant from that one initiative but it is possible for us to dovetail the efforts in that regard.
The Progressive Conservative Party of Canada, since its Quebec policy conference in Quebec City in 2000, has been advocating that the Government of Canada endure a very rigorous process of Canadian social audit. The intent of that process is we would have a social auditor who would work in the same way the Auditor General does and who would collect the inventory of our social programs to assist Canadians and ensure we get the outcomes that we seek. This could be done in a very constructive way.
To the member who moved the motion, if that social auditor were in place already, the issue pertaining to inflation, of indexing the family supplement to the inflation rate, may have already been done. Therefore, this is a process that we should continue to pursue for another day, the process of ensuring we provide the financial needs for families and our young. We know the more we invest in our young people at earlier ages to ensure they are healthy and educated is an immense social benefit for our society. Beyond that, it is just the right thing to do from a moral perspective as well.
Ensuring the best possible development opportunities for children and young people is not only the right thing to do but it makes sense for the social and economic future of this great country.
I am pleased to support the motion. I hope the government will act quickly upon it. I must take the opportunity to ask the government to do more to help Canadians who need it and above all, I compliment the member for moving the motion in the first place.